Naslov
Aggregate level of financial reporting manipulations in countries of South-East Europe

Autori
Šodan, Slavko ; Perica, Ivana ; Maja Vojvoda

Vrsta, podvrsta i kategorija rada
Radovi u zbornicima skupova, cjeloviti rad (in extenso), znanstveni

Izvornik
Proceedings of the 9th International Scientific Symposium "Region, Entrepreneurship, Development" / Leko Šimić, Mirna ; Crnković, Boris - Osijek : Ekonomski fakultet Sveučilišta Josipa Jurja Strossmayera u Osijeku, 2020, 469-479

Skup
9th International Scientific Symposium Region, Entrepreneurship, Development 2020 (RED 2020)

Mjesto i datum
Osijek, Hrvatska, 04.06.2020. - 05.06.2020

Vrsta sudjelovanja
Ostalo

Vrsta recenzije
Međunarodna recenzija

Ključne riječi
Financial reporting quality, Financial reporting manipulations, Southeast European countries

Sažetak
Even though financial statements are one of the main sources of information for the process of decision making, managers may misuse them for maximizing their own benefits at the expense of other interest groups. Financial reporting manipulations have been subject of interest for many researchers. However, prior studies were mainly conduced in developed countries, unlike post-communists countries of South-east Europe. The aim of this paper is to analyse differences in the level of financial reporting manipulation between Southeast European countries. We assume that differences in the level of financial reporting manipulation between Southeast European countries can be explained by different regulation and taxation systems. To conduct this investigation, large and very large companies from Bosnia and Herzegovina, Croatia, Montenegro, Serbia, and Slovenia have been selected. Necessary data for empirical research is collected from the AMADEUS database. The study was conducted on a sample of 4, 646 companies from 2014 to 2015. We focus on the three measures: avoidance of small losses, smoothing of operating earnings vis-a-vis cash flow and the correlation between accounting accruals and cash flow from operations to identify financial reporting manipulation. Descriptive statistics are used to summarize date and to analyze results. Our findings are consistent with stated predictions and indicate that there is a difference in the level of financial reporting manipulation between Southeast European countries. These findings contribute to the current debate on the problem of accounting manipulation.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

POVEZANOST RADA